Co-operative Bank shareholders are set to receive some Ksh5.86 billion in dividends earlier than expected after the lender announced the decision to bring forward its payment date by approximately two weeks to a comparable period last year.
In a notice, the lender announced that the decision has been informed by the need to release the funds to the over 15 million cooperative movement members as well as the desire to comply with a directive issued by the Capital Markets Authority (CMA) allowing listed firms to pay out dividends without approval from shareholders.
“With the current COVID-19 challenges, the bank is progressing to make the dividend payment for ratification at the next Annual General Meeting,” the lender said in a statement.
On March 19, the lender announced a Ksh14.3 billion profit for the full year ended December 2019 which translates into the Sh5.86 billion shareholders are set to bag.
The bank now says it is lining up its 96,907 shareholders for a final dividend of Ksh1 per share which will be paid on or before Thursday, April 23, 2020.
Co-op Bank largest shareholder Co-op Holdings Co-operative Society Limited which holds a 64.56% stake is set to rake in Ksh3.79 billion.
Chief Executive Gideon Muriuki who holds a 1.77% stake will take home Ksh103.9 million while the billionaire Patel brothers Amarjeet Baloobhai Patel and Baloobhai Chhotabhai Patel are set to land Ksh26.41 million for their 0.45% stake.
Board Vice Chair Macloud Malonza is set to land Ksh5.28 million Ksh for his 0.09% stake